Vietnam, South Africa seek to foster trade, investment ties

In his opening speech, Doan Duy Khuong, Vice Chairman of the Vietnam Chamber of Commerce and Industry (VCCI), said Vietnam is now a leading partner of South Africa in Southeast Asia, with bilateral trade increasing fivefold in the past decade from US$192 million in 2007 to US$1.03 billion in 2016.

Vietnam has mainly shipped phones and components, computers, electronic products, footwear, rice, cashew nuts, coffee and wooden products to South Africa, while imported plastics, garment-textile and footwear materials, chemical products, metals and steel from the African country, he said.

Vietnam and South Africa still have potentials for stronger cooperation in such industrial sectors as mining, steel manufacturing, logging, and pulp producing. 

Vietnam is considering the possibility of partnership with South Africa in thermal power, auto production and assembly, foodstuff processing and beverages, among other sectors.

Helen Zille, Premier of Western Cape province, who is leading a business delegation to Vietnam, expressed her delight at the fruits of Vietnam-South Africa trade ties, but saying that economic ties have yet to be on par with potentials and expectations of both nations.

Zille suggested Vietnamese and South African enterprises work together to tackle difficulties in transport costs and regional economic downturn, and urged them to take the initiative in seeking partners.

She said the two governments have encouraged cooperation between marine shipping and logistics firms to facilitate import and export activities.  

The official said in the past five years, South Africa has invested more than US$100 billion in infrastructure development and planned to pour an additional US$400 billion into this field in the next 15 years. 

This will open up an opportunity for Vietnamese businesses to boost export of products such as cement, she added.